Dow Chemical divests calcium chloride ops, refinery interest

20 May 2009 17:05[Source: ICIS news]

TORONTO (ICIS news)--Dow Chemical has sold its calcium chloride business and its interest in a refinery in the Netherlands, for over $900m (€657m), which will be used to reduce debt, the US chemicals major said on Wednesday.

The calcium chloride business was sold to an unnamed strategic investor for $210m.

Dow’s interest in its joint venture refinery with Total in the ?xml:namespace>Netherlands - Total Raffinaderij Nederland – was sold to US refiner Valero for about $725m, Dow said.

“These asset sales at valuations that result in significant de-leveraging represent another major step in the acceleration of Dow’s divestiture and de-levering plans despite a challenging economic environment,” Dow CEO Andrew Liveris said.

“We are delivering on our commitments ahead of schedule and creating the momentum needed to strengthen our financial position and create a faster path to earnings growth,” he added.

Sales of non-strategic assets announced so far this year were now in excess of $2.6bn, well ahead of its original divestment plan, the company said.